Related papers: Symmetry and financial Markets
It is still common wisdom amongst economists, politicians and lay people that economic growth is a necessity of our social systems, at least to avoid distributional conflicts. This paper challenges such belief moving from a purely physical…
These are intended to be review notes on emergent symmetries, i.e., symmetries which manifest themselves in specific sectors of energy in many systems. The emphasis is on the physical aspects rather than computation methods. We include some…
Many physicists, following Einstein, believe that the ultimate aim of theoretical physics is to find a unified theory of all interactions which would not depend on any free dimensionless constant, i.e., a dimensionless constant that is only…
The relationships between game theory and quantum mechanics let us propose certain quantization relationships through which we could describe and understand not only quantum but also classical, evolutionary and the biological systems that…
The dominance of string theory in the research landscape of quantum gravity physics (despite any direct experimental evidence) can, I think, be justified in a variety of ways. Here I focus on an argument from mathematical fertility, broadly…
Arithmetic operations can be defined in various ways, even if one assumes commutativity and associativity of addition and multiplication, and distributivity of multiplication with respect to addition. In consequence, whenever one encounters…
Classical mathematics are founded within set theory, but sets don't have \emph{symmetries}. We conjecture that if we allow sets with symmetries, then many problems such as \emph{Mirror symmetry} or \emph{Homological mirror symmetry} can be…
Symmetry is an important inductive bias that can improve model robustness and generalization across many deep learning domains. In multi-agent settings, a priori known symmetries have been shown to address a fundamental coordination failure…
Supersymmetry remains compelling theory over 30 years in spite of lack of its discovery. It could be already near the corner our days, therefore present and upcoming experiments are crucial for constraining or even discovery of the…
We consider a generalization of the notion of a natural mechanical system to the case of additional forces of gyroscopic type. Such forces appear, for example, as a result of global reduction of a natural system with symmetry. We study…
Evolutionary game theory is a powerful framework for studying evolution in populations of interacting individuals. A common assumption in evolutionary game theory is that interactions are symmetric, which means that the players are…
Recently, a couple of investigations related to symmetry breaking phenomena, 'spontaneous stochasticity' and 'ergodicity breaking' have led to significant impacts in a variety of fields related to the stochastic processes such as economics…
This is a short commentary piece that discusses how the methods used in the natural sciences can apply to economics in general and financial markets specifically.
The ``impossibility theorem'' -- which is considered foundational in algorithmic fairness literature -- asserts that there must be trade-offs between common notions of fairness and performance when fitting statistical models, except in two…
Selected applications of symmetry methods in the atmospheric sciences are reviewed briefly. In particular, focus is put on the utilisation of the classical Lie symmetry approach to derive classes of exact solutions from atmospheric models.…
Persistence is studied in a financial context by mapping the time evolution of the values of the shares quoted on the London Financial Times Stock Exchange 100 index (FTSE 100) onto Ising spins. By following the time dependence of the…
The mathematical theory underlying Hamiltonian mechanics is called symplectic geometry. So symplectic geometry arose from the roots of mechanics and is seen as one of the most valuable links between physics and mathematics today. Symplectic…
Market timing is an investment technique that tries to continuously switch investment into assets forecast to have better returns. What is the likelihood of having a successful market timing strategy? With an emphasis on modeling…
We call an objective function or algorithm symmetric with respect to an input if after swapping two parts of the input in any algorithm, the solution of the algorithm and the output remain the same. More formally, for a permutation $\pi$ of…
In this paper we explore the specific role of randomness in financial markets, inspired by the beneficial role of noise in many physical systems and in previous applications to complex socio- economic systems. After a short introduction, we…